Merchant Cash Advance

Merchant Cash Advance

What Is A Merchant Cash Advance?

How Merchant Cash Advance Works?

Merchant Cash Advance Example:

The Advantages Of Merchant Cash Advances

Merchant Cash Advance Qualifications

What Is A Merchant Cash Advance?

You are looking for a merchant cash advance because you know that cash flow is the life blood of small business. The business might be undergoing a slow period, need funds for expansion, or be experiencing unexpected expenses. These and other circumstances generate a need for immediate cash. Even with good credit, the funds might not be available in time. A merchant cash advance can provide the necessary cash quickly.

Most businesses allow their customers to use debit and credit cards for purchases. A merchant cash advance company, like Biz Loans Direct, can provide funds directly to the business owner. The advance is paid back by deductions from debit or credit card sales. That is, a fixed percentage of each card sale is paid directly to the company. Business owners don’t have to put up collateral or make loan payments. Although a merchant cash advance is not technically a loan, and therefore no interest is charged, there is a fee.

How Merchant Cash Advance Works?

We purchase a set dollar amount of your business’s future sales at a discount. In exchange, we pay your business cash today. Then, through an automated process, we seamlessly collect the agreed upon the amount by taking a small percentage from each sale. Basically, we get paid as you get paid. Biz Loans Direct has very flexible underwriting guidelines and structures each merchant cash advance to fit the unique operating and revenue circumstances of every customer. Our goal is to get working capital in the hands of your business quickly while structuring the hold back percentage to meet your business’s ongoing operating requirements. Our financing program has become an important alternative to traditional bank loans as a source for short-term business loans, often known as the instant cash advance.

Merchant Cash Advance Example:

Let’s assume you own a restaurant and you need $20,000 extra money for marketing. To get this $20,000 you would sell us the right to receive a percentage of your future sales set 8%. So you sell $26,000 worth of future sales to us to receive the $20,000 (PLEASE NOTE – these numbers are used for this example only, rates vary depending on a case-by-case basis but all your funding amounts are clearly indicated on your pre-approval options). Once you have chosen one of your funding options, you sign off on our cash advance agreement and the deal is done!

1. You get the money ($20,000) in your business checking account within 48 hours and are fully setup to forward a small portion of your daily credit card batches to us.
2. Biz Loans Direct collects the specified daily percentage of 8% of your sales on a daily basis until the advance is repaid in full.

Merchant Cash Advance Qualifications

Qualifying is easy and you do not need to worry about your credit. The qualification process is very easy and only takes a few minutes. $5,000 in sales per month is the minimum you need to have in order to qualify for our financing services.